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What Do Valley Leaders Say About Trump's Threat to Yank High-Speed Rail Funding?
Edward Smith updated website photo 2024
By Edward Smith
Published 3 months ago on
June 5, 2025

Fresno Mayor Jerry Dyer, left, Rep. Jim Costa (D-Fresno), center, and Assemblymember Alexandra Macedo (R-Tulare) all reacted to a threat from President Donald Trump's administration to withdraw a $4 billion investment in high-speed rail. (GV Wire Composite/Paul Marshall)

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A declaration from President Donald Trump’s administration that the California High Speed Rail is not “viable” is receiving a split reaction from Fresno area elected leaders. Some say the estimated $133 billion project represents more than transportation, while others say money is better spent elsewhere.

What is certain: The price tag for high-speed rail has swelled from the original $33 billion estimate in 2008. In addition, the project is five years past its original 2020 projected completion — with no finish line in sight.

The U.S. Transportation Department released its long-awaited audit of the high-speed rail project on Wednesday after Trump widely criticized the project for being overbudget and delayed.

The document says the California High-Speed Rail Authority “conned the taxpayer out of its $4 billion (federal) investment, with no viable plan to deliver even that partial segment on time.”

A request for comment from the authority went unanswered.

Transportation Secretary Sean Duffy gave the authority 37 days to respond to the audit under the threat of rescinding the $4 billion.

Assemblymember Alexandra Macedo (R-Tulare) agreed with Duffy’s assessment.

“The federal report found that the California High-Speed Rail Authority is riddled with waste, mismanagement, and missed deadlines,” Macedo said in a statement. “It further asserts that its officials overrepresented the potential ridership. It is time to cut our losses and reinvest those dollars in water infrastructure and wildfire prevention — lifesaving projects that can provide well-paying jobs for skilled workers in the Central Valley.”

The Los Angeles Times reports that about $14 billion has been spent on the project: 82% from the state and 18% from the federal government.

Dyer Wants Authority to Address Audit, Move Project Forward

Fresno Mayor Jerry Dyer called high-speed rail more than a transportation project for Fresno. He said the project plays a critical role in the city’s future.

“High-speed rail isn’t just about transportation — it’s about connecting Fresno’s people and economy to the rest of California. It represents jobs, growth, and long-term opportunity for our region,” Dyer said in a statement to GV Wire. “It’s also a key part of revitalizing our downtown and Chinatown neighborhoods, which have been waiting a long time for transformative investment.”

Rep. Jim Costa (D-Fresno) echoed that sentiment, saying the project brings jobs and grows local economies.

“(Trump) doesn’t understand the San Joaquin Valley or the legal challenges that have delayed this project,” Costa said. “Instead, he is stalling progress and killing good-paying jobs to score political points.”

At a high-speed rail forum in April, authority CEO Ian Choudry said the hardest parts of the project — environmental review and land acquisition — were done. He also said the $4 billion Biden-era federal investment was essential to the project.

Authority Must Address Nine Shortcomings

The 310-page report found nine shortfalls in the authority’s plan.

The audit identifies a $7 billion funding gap and “no credible plan to secure additional funds” for the Merced to Bakersfield segment. It mentions missed deadlines for material procurements, an overreliance on projections for cap-and-trade revenue — the biggest California-based funding source, and $1.6 billion in change orders.

Gov. Gavin Newsom recently renewed a commitment from the cap-and-trade program to fund high-speed rail with a minimum of $1 billion annually.

The audit also stated that the authority has overrepresented its ridership projections.

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Edward Smith,
Multimedia Journalist
Edward Smith began reporting for GV Wire in May 2023. His reporting career began at Fresno City College, graduating with an associate degree in journalism. After leaving school he spent the next six years with The Business Journal, doing research for the publication as well as covering the restaurant industry. Soon after, he took on real estate and agriculture beats, winning multiple awards at the local, state and national level. You can contact Edward at 559-440-8372 or at Edward.Smith@gvwire.com.

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